Bitcoin News Today: Bitcoin RSI at 75 Signals Extended Overbought Bull Market Defying 80 Correction Threshold

Bitcoin’s relative strength index (RSI) is poised to remain in overbought territory for an extended period, according to PlanB, the pseudonymous analyst behind the Stock-to-Flow model. The RSI, a technical indicator measuring price momentum, currently stands at 75, a level historically associated with prolonged bullish cycles, such as those observed in 2017 and 2021 [1]. PlanB’s analysis suggests this could signal months of overbought conditions, defying traditional thresholds that typically flag RSI above 80 as a correction trigger [2]. At the time of reporting, Bitcoin (BTC USD) traded near $117,435.61, a 0.25% decline in the last 24 hours, with the cryptocurrency market cap reaching $2.36 trillion [3].

PlanB’s projections highlight that Bitcoin’s RSI may climb above 80 in the coming months, mirroring patterns from past bull runs. Historical data from 2011, 2013, 2017, and 2021 show similar RSI trajectories leading to multi-month overbought phases [4]. This dynamic challenges conventional trading strategies, as traditional indicators often signal near-term corrections during such levels. Instead, PlanB attributes the current market behavior to structural shifts, including increased institutional adoption and macroeconomic factors like low-yield environments driving capital into alternative assets [5]. The analyst emphasizes that while overbought RSI levels typically precede short-term pullbacks, historical parallels suggest these signals may persist for extended periods during major bull cycles [6].

Market participants are closely monitoring key price levels for potential volatility. Bitcoin’s recent surge to $123,000—a record high—has drawn attention to critical support thresholds at $120,000 and $115,000 [7]. Traders noted a brief dip to $117,000 earlier in the week, followed by a rebound above $118,000, driven by profit-taking and liquidity accumulation above current prices [8]. This liquidity buildup raises the possibility of short squeezes if buyers push through resistance levels. However, the absence of significant selling pressure at elevated RSI levels could prolong the bullish phase, according to PlanB [9].

The market’s cautious optimism is tempered by debates over the sustainability of the current trajectory. Some analysts argue that the extended overbought conditions mirror speculative frenzies observed in past cycles, while others view the price action as validation of Bitcoin’s role as a macroeconomic hedge [10]. PlanB’s analysis remains cautiously optimistic, emphasizing that historical trends suggest prolonged upward pressure if the RSI continues to defy traditional correction thresholds [11].

Investors are advised to focus on price action around $123,000, a critical psychological level. A sustained breakout could further entrench Bitcoin’s overbought status, while a drop below $120,000 might trigger profit-taking or volatility [12]. The interplay between RSI readings and price movements will remain central to gauging market sentiment in the coming months.

Sources:

[1] [Bitcoin analysis shows RSI signals extended bull market](https://thecurrencyanalytics.com/altcoins/bitcoins-rsi-projected-to-stay-overbought-for-months-suggests-prolonged-bull-run-planb-analysis-187119)

[2] [Bitcoin's Rally Faces Overbought Risks, PlanB Highlights RSI](https://phemex.com/news/article/bitcoins-rally-faces-overbought-risks-planb-highlights-rsi-concerns_13638)

[3] [Bitcoin’s RSI projected above 80 for months signals extended bull market](https://www.ainvest.com/news/bitcoin-news-today-bitcoin-rsi-projected-80-months-signals-extended-bull-market-planb-2507/)

[4] [Bitcoin RSI at 75 Signals Prolonged Overbought Bull Cycle](https://www.ainvest.com/news/bitcoin-news-today-planb-bitcoin-rsi-75-signals-prolonged-overbought-bull-cycle-2507/)

[5] [Bitcoin RSI projected above 80 for months signals ...](https://www.ainvest.com/news/bitcoin-news-today-bitcoin-rsi-projected-80-months-signals-extended-bull-market-planb-2507/)

[6] [Bitcoin's Overbought Rally May Extend, PlanB Warns of ...](https://www.kucoin.com/news/flash/bitcoin-s-overbought-rally-may-extend-planb-warns-of-rsi-trends)

[7] [Unleashing A Prolonged Bull Run, PlanB Predicts Months ...](https://bitcoinworld.co.in/?p=182196)

[8] [Bitcoin to Remain Overbought for the Next Few Months, Says PlanB](https://cryptorank.io/news/feed/7559a-arthur-hayes-1m-ena-flag-42-upside)

[9] [Bitcoin analysis shows RSI signals extended bull market](https://thecurrencyanalytics.com/altcoins/bitcoins-rsi-projected-to-stay-overbought-for-months-suggests-prolonged-bull-run-planb-analysis-187119)

[10] [Bitcoin RSI projected above 80 for months signals extended bull market](https://www.ainvest.com/news/bitcoin-news-today-bitcoin-rsi-projected-80-months-signals-extended-bull-market-planb-2507/)

[11] [Bitcoin’s RSI projected above 80 for months signals extended bull market](https://www.ainvest.com/news/bitcoin-news-today-bitcoin-rsi-projected-80-months-signals-extended-bull-market-planb-2507/)

[12] [Bitcoin to Remain Overbought for the Next Few Months, Says PlanB](https://cryptorank.io/news/feed/7559a-arthur-hayes-1m-ena-flag-42-upside)